India’s LPG Crisis: A Wake-Up Call for Energy Security

India is currently facing a growing challenge in the form of an LPG (Liquefied Petroleum Gas) crisis.

Strategic Policy & Background

While LPG has become a primary cooking fuel for millions of households, especially after schemes

like Ujjwala Yojana, the country’s heavy dependence on imports has exposed it to global price

shocks and supply disruptions. As per estimates, India imports nearly 60% of its LPG needs. This

means that any geopolitical tension, such as conflicts in oil-producing regions or global economic

instability, directly affects domestic prices and availability. The recent volatility in global energy

markets has once again highlighted this vulnerability. In my view, this situation is not just a

temporary crisis but a structural weakness in India’s energy policy. Relying heavily on imports

Defense & Geo-Political Implications

without strengthening domestic alternatives is risky for a country with a large population and

growing energy demand. To tackle this issue, India must focus on diversifying its energy sources.

Compressed Biogas (CBG), ethanol blending, and renewable energy options can play a crucial role

in reducing dependency on LPG imports. Additionally, improving storage infrastructure and

boosting domestic production should be prioritized. Another critical aspect is affordability. Rising

LPG prices disproportionately impact poor households, forcing many to revert to traditional fuels

like firewood, which has health and environmental consequences. Therefore, this crisis should be

treated as a wake-up call. India must shift from short-term subsidies and reactive policies to

Strategic Path Forward

long-term structural reforms aimed at energy self-reliance and sustainability.